Daily Times

Amid the Chinese authorities’ indecision to initiate the tendering process for the long-awaited Main Line-I (ML-I) railway project of the CPEC, the government starts giving serious consideration to plan B to bring investment for the multi-billion dollar project.

An official of the Planning Ministry informed the National Assembly on Thursday that the negotiations with China will yield positive results and work on the construction of the long-delayed ML-1 project will start soon.

However, the official said that in case the talks with China remain unsuccessful, the plan B is to engage Russia or any other country to bring the investment for the multi-billion dollar project. It is pertinent to mention here that since the $6.8 billion project has already been approved by the government, the ball is now in the court of the Chinese authorities concerned. There is nothing pending on part of Pakistan.

The meeting, which was presided over by the Committee Chairman Junaid Akbar, was informed that the government was fully prepared to float the tender for the project as it had completed all the initial requirements including preliminary design and the feasibility reports.

The ministry official said the government to government framework agreement between Pakistan and China had also been signed so, “as soon as the loan agreement is signed, we will float the tenders for the project within 50 days”.

Member of the Committee MNA Agha Rafiullah, expressing dissatisfaction over the progress of mega CPEC project ML-1, said that so far there is zero progress on the project and urged to speed up the process so that physical work could be started as soon as possible.

The ML-1 project which is included among the early harvest projects of the CPEC, faced inordinate delay due to some technical differences between the two sides.

The meeting was informed that the cost of the original PC-1 of ML-1 project agreed during the previous government was US$9.172 billion, but the incumbent government negotiated and managed to slash the project cost by 25pc to $6.8 billion. It is further informed that the Chinese side is demanding that the project financing should be made totally in the Chinese currency RMB, however the financing committee from Pakistan side, which had met for around fives times, with the Chinese side so far, had proposed a mix of RMB and USD.